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Clearcorp Dealing Systems (India) Ltd.

Financial Statements

2013-2014

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The Clearing Corporation of India Limited,2013-2014

Mrs. Shyamala Gopinath (Chairperson)

Mr. R. Sridharan (Managing Director)

Mr. K. Sivaprakasam

Mr. R. V. Joshi

Mr. M. R. Ramesh

Board of Directors:

Mrs. Sandhya Sati

Company Secretary:

Auditors:M/s. Lodha & Co.Chartered Accountants

CCIL Bhavan,

College Lane,

Off. S. K. Bole Road,

Dadar (West),

Mumbai-400 028

Tel: 61546200 Fax: 24326042

Website: www.ccilindia.com

CIN-U74999MH2003PLC140849

Registered and Corporate Office:

The Clearing Corporation of India Limited,2013-2014 1

CLEARCORP DEALING SYSTEMS (INDIA) LIMITED

Financial Statements 2013 - 2014


Contents

1. Auditors' Report 3

2. Financial Statements

Balance Sheet 8

Statement of Profit and Loss 9

Cash Flow Statement 10

Notes to the Financial Statements 11

AUDITOR'S REPORT

TO THE MEMBERS OF


REPORT ON THE FINANCIALSTATEMENTS

CLEARCORP DEALING SYSTEMS (INDIA)

LIMITED

Management's Responsibility for the Financial Statements

Auditors' Responsibility

We have audited the accompanying financial statements of

(“the Company”), which comprise the Balance Sheet as at March 31, 2014, the Statement of

Profit and Loss and the Cash Flow Statement of the company for the year then ended, and a summary

of the significant accounting policies and other explanatory information. Audit of the previous year's

financial statements was carried out by another firm of CharteredAccountants who issued unqualified

report dated May 13, 2013.

The Company's Management is responsible for the preparation of these financial statements that give

a true and fair view of the financial position, financial performance and cash flows of the Company in

accordance with the Accounting Standards referred to in sub-section (3C) of section 211 of the

Companies Act, 1956 (“the Act”).This responsibility includes the design, implementation and

maintenance of internal control relevant to the preparation and presentation of the financial

statements that give a true and fair view and are free from material misstatement, whether due to

fraud or error.

Our responsibility is to express an opinion on these financial statements based on our audit. We

conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered

Accountants of India. Those Standards require that we comply with the ethical requirements and plan

and perform the audit to obtain reasonable assurance about whether the financial statements are free

from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and the

disclosures in the financial statements. The procedures selected depend on the auditor's judgment,

including the assessment of the risks of material misstatement of the financial statements, whether

due to fraud or error. In making those risk assessments, the auditor considers the internal control

relevant to the Company's preparation and fair presentation of the financial statements in order to

design audit procedures that are appropriate in the circumstances but not for the purpose of

expressing an opinion on the effectiveness of the entity's internal control. An audit also includes

evaluating the appropriateness of accounting policies used and the reasonableness of the accounting

estimates made by the Management, as well as evaluating the overall presentation of the financial

statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis

for our audit opinion.


Opinion

Report on Other Legal and Regulatory Requirements

For LODHA & COMPANY

Chartered Accountants

R.P. Baradiya

In our opinion and to the best of our information and according to the explanations given to us, the

financial statements give the information required by theAct in the manner so required and give a true

and fair view in conformity with the accounting principles generally accepted in India:

(a) in the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2014;

(b) in the case of the Statement of Profit and Loss, of the profit of the Company for the year ended

on that date, and

(c) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

1. As required by the Companies (Auditor's Report) Order, 2003(“the Order”) issued by the Central

Government of India in terms of sub-section (4A) of section 227 of the Act, we give in the

Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.

2. As required by Section 227(3) of theAct, we report that:

(a) We have obtained all the information and explanations which to the best of our knowledge

and belief were necessary for the purposes of our audit.

(b) In our opinion, proper books of account as required by law have been kept by the Company

so far as it appears from our examination of those books.

(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt

with by this Report are in agreement with the books of account.

(d) In our opinion, the Balance Sheet, Statement of Profit and Loss and the Cash Flow

Statement comply with theAccounting Standards referred to in sub-section (3C) of section

211 of theAct.

(e) On the basis of the written representations received from the directors as on 31 March

2014 taken on record by the Board of Directors, none of the directors is disqualified as on

31 March, 2014 from being appointed as a director in terms of clause (g) of sub-section (1)

of section 274 of theAct.

Firm Registration No. 301051E

Sd/-

Place: Mumbai Partner

Date: May 6, 2014 Membership No. 44101

st

st


ANNEXURE REFERRED TO IN PARAGRAPH 1 UNDER THE HEADING “REPORT ON OTHER LEGAL AND

REGULATORY REQUIREMENTS” OF OUR REPORT OF EVEN DATE TO THE MEMBERS OF CLEARCORP

DEALING SYSTEMS (INDIA) LIMITED:

On the basis of such checks as we considered appropriate and according to the information and

explanations given to us during the course of audit, we state that

1. a) The Company has maintained proper records showing full particulars including quantitative

details and situation of fixed assets.

b) The Company has carried out physical verification of all its fixed assets during the year. In

our opinion, the frequency of verification is reasonable considering the size of the Company

and the nature of its assets. No material discrepancies were noticed on such verification.

c) During the year, no substantial part of fixed assets has been disposed off by the Company.

2. The Company does not have any inventory. Therefore, the provisions of clause 4 (ii) of the Order

are not applicable to the Company.

3. The Company has neither granted nor taken any loans, secured or unsecured, to / from companies,

firms or other parties covered in the register maintained under Section 301 of theAct.

4. In our opinion and according to the information and explanations given to us and having regard to

the fact that some of the items purchased are of a special nature in respect of which suitable

alternative sources do not exist for obtaining comparable quotations, there are adequate internal

control procedures commensurate with the size of the Company and the nature of its business for

the purchase of inventory and fixed assets and for the sale of services. During the course of our

audit, no major weaknesses have been noticed in the aforesaid internal control system.

5. There are no particulars of contracts or arrangements referred to in Section 301 of the Act which

need to be entered into the register required to be maintained under that section.

6. In our opinion and according to the information and explanations given to us, the Company has not

accepted any public deposits within the meaning of Section 58A and 58AA or any other relevant

provisions of theAct and rules framed there under.

7. In our opinion, the Company has an internal audit system commensurate with the size of the

Company and nature of its business.

8. According to the information and explanations given to us, the maintenance of cost records has

not been prescribed by the Central Government under section 201(1)(d) of the Act for any of the

activities of the Company.


9. a) The Company is regular in depositing undisputed statutory dues including Provident Fund,

Employees' State Insurance, Investor Education and Protection Fund, Income Tax, Wealth

Tax, Service Tax, Sales Tax, Customs Duty, Excise Duty, Cess and other statutory dues

applicable to the Company with appropriate authorities. As explained to us there are no

undisputed dues which have remained outstanding as at the end of the financial year, for a

period of more than six months from the date they became payable.

b) According to the records of the Company, there are no dues of Income Tax, Sales Tax, Service

Tax, Customs Duty, Wealth Tax, Excise Duty and Cess which have not been deposited on

account of any dispute.

10. The Company has no accumulated losses at the end of the financial year and has not incurred cash

losses in the current financial year or in the immediately preceding financial year.

11. In our opinion and according to the information and explanations given to us and based on the

documents and records produced before us, there has been no default in repayment of dues to

banks. There are no dues to financial institutions or debenture holders.

12. In our opinion and according to the information and explanations given to us and based on the

documents and records produced before us, the Company has not granted any loans and advances

on the basis of security by way of pledge of shares, debentures or other securities.

13. In our opinion, the Company is not a chit fund or a nidhi /mutual benefit fund/ society. Therefore,

the provisions of clause 4(xiii) of the Order are not applicable to the Company.

14. In our opinion, the Company is not a dealer or trader in shares, securities, debentures and other

investments.

15. The Company has not given any guarantee for loan taken from other banks or financial institutions.

16. The Company has not obtained any term loan during the year.

17. Funds raised on short term basis have, prima-facie, not been used for long term Investment.

18. The Company has not made any preferential allotment of shares to parties and companies covered

in the Register maintained under Section 301 of theAct.

19. The Company has not issued any debentures during the year.

20. The Company has not raised any money through public issue during the year.


21. During the course of our examination of the books and records of the Company, carried out in

accordance with the generally accepted auditing practices in India and according to the

information and explanations given to us, we have neither come across any instance of fraud on or

by the Company, noticed or reported during the year, nor have we been informed of such case by

the management.

For LODHA& COMPANY

R.P. Baradiya

Chartered Accountants

Firm Registration No. 301051E

Sd/-

Place: Mumbai Partner

Date: May 6, 2014 Membership No. 44101


CLEARCORP DEALING SYSTEMS (INDIA) LIMITEDBALANCE SHEET AS AT MARCH 31, 2014

( in lakhs)`

Note No.As at

31.03.2014As at

31.03.2013

EQUITY AND LIABILITIES

Shareholders’ Funds

Share Capital 1,000 1,000

Reserves and Surplus 2,198 1,684

Non-Current Liabilities

Long-Term Provisions 99 62

Current Liabilities

Trade Payables 19 19

Other Current Liabilities 128 149

Short-term Provisions 108 29

TOTAL 3,552 2,943

ASSETS

Non-Current Assets

Fixed Assets

-Tangible Assets 18 34

-Intangible Assets 164 46

-Intangible Assets under Development-Software 704 563

Deferred Tax Assets 92 82

Long-term Loans and Advances 0 * 0*

Other Non-current Assets 498 1,630

Current Assets

Trade Receivables 140 94

Cash and Bank Balances 1,757 331

Short-term Loans and Advances 4 14

Other Current Assets 175 149

TOTAL 3,552 2,943

* denotes amount less than 1 lakh.`

SIGNIFICANT ACCOUNTING POLICIES AND NOTES TO

FINANCIAL STATEMENTS

2

3

4

5

6

7

8

9

10

11

12

13

14

15

1-31

As per our attached report of even date Signatures to the Balance Sheet and Notes thereon

LODHA& CO.

For and on behalf of For and on behalf of the Board of Directors

Firm Reg. No. 301051E

Place : Mumbai

Date : May 06, 2014

CHARTEREDACCOUNTANTS

Sd/-R.P.BaradiyaPartner

Sd/-Sandhya SatiCompany Secretary

Sd/-R. SridharanManaging Director

Sd/-Shyamala GopinathChairperson

Sd/-K. SivaprakasamDirector


Revenue from Operations 2,331 2,029

Other Income 234 196

Total Revenue 2,565 2,225

Expenses:

Employee Benefits Expense 532 409

Finance Costs 2 2

Depreciation and Amortization Expense 269 334

Other Expenses

18

16

17

19

20

21 995 682

Total Expenses 1,798 1,427

Profit Before Tax for the Year 767 798

Tax Expense

- Current Tax 262 264

- Deferred Tax (9) (1)

- Pertaining to previous years - 6

Profit After Tax for the Year 514 529

Earnings per Equity Share:

- Basic 5.14 5.29

- Diluted 5.14 5.29

(Equity Share of face value of `10 each)

SIGNIFICANT ACCOUNTING POLICIES ANDNOTES TO FINANCIAL STATEMENTS 1-31

CLEARCORP DEALING SYSTEMS (INDIA) LIMITEDSTATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED MARCH 31, 2014

Note No.For the year

ended 31.03.2014For the year

ended 31.03.2013

( in lakhs)`

As per our attached report of even date Signatures to the Statement of Profit and Loss andand Notes thereon

LODHA& CO.



Place : Mumbai

Date : May 06, 2014








CLEARCORP DEALING SYSTEMS (INDIA) LIMITEDCASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 31, 2014

2013-14 2012-13

( in lakhs)`

As per our attached report of even date Signatures to the Cash Flow Statement

LODHA& CO.




Place : Mumbai

Date : May 06, 2014






767 798

269 334

2 2

206 180

- 1

832 953

(76) (10)

102 (80)

858 863

(272) (294)

586 569

(512) (476)

- 1

(2,550) (2,025)

2,275 1,750

202 170

(585) (580)

- -

- -

1 (11)

31 42

32 31

(A) CASH FLOW FROM OPERATING ACTIVITIES

PROFIT BEFORE TAX FOR THE YEAR

Add: Adjustments for -

Depreciation and Amortization Expense

Interest under Income Tax provisions

Less: Adjustments for -

Interest Income

Profit on Sale of Fixed Asset

OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES

Adjustments for :

(Increase)/Decrease in Non Current Assets/Current Assets

Increase/(Decrease) in Non Current Liabilities/Current Liabilities

CASH GENERATED FROM OPERATIONS

Direct Taxes paid

NET CASH FROM/(USED IN) OPERATING ACTIVITIES (A)

(B) CASH FLOW FROM INVESTING ACTIVITIES

Purchase of Fixed Assets

Sale of Fixed Assets

Placement of Fixed Deposit with Banks

Redemption of Fixed Deposit with Banks

Interest Received

NET CASH FROM/(USED IN) INVESTING ACTIVITIES (B)

(C) CASH FLOW FROM FINANCING ACTIVITIES

NET CASH FROM/(USED IN) FINANCING ACTIVITIES (C)

NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS (A+B+C)

CASH AND CASH EQUIVALENTS - OPENING BALANCE

CASH AND CASH EQUIVALENTS - CLOSING BALANCE

NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS 1 (11)

Note:

1 The above Cash Flow Statement has been prepared using the indirect method as perAccounting Standard 3.

2 Previous year's figures have been regrouped, reclassified and rearranged to conform to current year's

presentation, wherever necessary.



NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED ON MARCH 31, 2014

NOTE 1 : SIGNIFICANTACCOUNTING POLICIES

Nature of Operations :

SignificantAccounting Policies :

(a)

(b)

(c)

Clearcorp Dealing Systems (India) Limited ("the Company") provides dealing systems/platforms, facilitates

trading in the money market instruments, foreign exchange and other financial market instruments and

carries out related activities.

The financial statements have been prepared to comply in all material respects with theAccounting

Standards notified by the Companies (Accounting Standards) Rules, 2006, and relevant provisions of

the Companies Act, 1956. The financial statements have been prepared under the historical

convention on accrual basis.

The preparation of financial statements requires the management to make estimates and

assumptions that have been considered in the reported amounts of assets and liabilities (including

current liabilities) as of the date of the financial statements and the reported income and expenses

during the reporting period. Management believes that the estimates used in preparation of the

financial statements as prudent and reasonable. Future results could differ from these estimates.

(i) Transaction Charges income is recognised on settlement of respective transactions in terms

of the contract with members.

(ii) Non-refundable one time membership fee is recognised as income in the year in which

respective operations commence or in the year in which the membership of the applicant is

approved, whichever is later.

(iii) Revenue from Services is recognized as and when the Service is performed as per the

relevant agreements.

(iv) Other Revenue Income is recognised as and when there is a reasonable certainty of ultimate

realisation.

(i) Fixed assets are stated at cost which comprises of purchase price, freight, duties, taxes, cost

of installation and other incidental expenses incurred towards acquisition and installation of

such assets.

Basis of preparation of Financial Statements :

Revenue Recognition :

FixedAssets and Depreciation :


(iI) Depreciation is provided on Straight Line Method (SLM) as per rates specified below and in

the manner specified in Schedule XIV to the CompaniesAct, 1956 (Act):

FixedAssets whose cost is 5,000 or less are fully written off in the year of acquisition.

(iii) Software expenses incurred for Company's core business applications are capitalized as

Computer Software.

Short term Employee Benefits are estimated and provided for. Post Employment Benefits and Other

Long term Employee Benefits are treated as follows:

(i)

(a) Provident Fund: The provident fund plan is operated by Regional Provident Fund

Commissioner (RPFC) and the contribution thereof is paid/provided for.

(b) Superannuation Fund: Superannuation benefit for the eligible employees is covered

by Superannuation Scheme with Life Insurance Corporation of India and the

contribution thereof is paid/provided for.

Contributions to the defined contribution plans are charged to the Statement of Profit & Loss

for the respective financial year.

(ii)

Gratuity: Gratuity for employees is covered by Gratuity Scheme with Life Insurance

Corporation of India and the contribution thereof is paid/provided for. Provision for Gratuity

is made as per actuarial valuation as at the end of the year.

Actuarial gains/losses at the end of the year accrued to the defined benefit plans are taken

to Statement of Profit and Loss for the respective financial year and are not deferred.

(iii)

Long term compensated absences: Provision for Leave encashment is made on the basis of

actuarial valuation as at the end of the year.

`

(d) Employee Benefits :

Defined Contribution plans :

Defined Benefits plans :

Other Long Term Benefits :

CLEARCORP DEALING SYSTEMS (INDIA) LIMITEDNOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED ON MARCH 31, 2014

Asset Depreciation RateSLM Depreciation rates prescribed

in the Schedule

Computer Systems- Hardware 50.00% 16.21%

Computer Software 100.00% 16.21%

Furniture and Fixtures 20.00% 6.33%

Office and Other Equipment 20.00% 4.75%


(e)

(f) :

Income Tax :

Foreign Currency Transactions

Provisions and Contingent Liabilities :

Provision for current tax is made on the basis of relevant provisions of the Income TaxAct, 1961. The

deferred tax for timing differences between the book and tax profits for the year is calculated using

the tax rates and laws that have been substantively enacted as of the balance sheet date. Deferred

tax assets arising from timing differences are recognized to the extent there is reasonable/virtual

certainty that these would be realised in future.

Revenue Transactions in foreign currency are recorded at the rate of exchange in force at the date of

transactions. Foreign Currency assets and liabilities are stated at the rate of exchange prevailing at

the year end and resultant gains/losses are recognized in the Statement of Profit and Loss.

(g)

Provisions are recognised for liabilities that can be measured only by using a substantial degree of

estimation, if -

a) the Company has a present obligation as a result of past event ,

b) a probable outflow of resources is expected to settle the obligation and

c) the amount of the obligation can be reliably estimated .

Contingent Liability is disclosed in the case of -

a) a present obligation arising from a past event, when it is not probable that an outflow of

resources will be required to settle the obligation.

b) a possible obligation, unless the probability of outflow of resources is remote.

Where some or all of the expenditure required to settle a provision is expected to be reimbursed by

another party, such reimbursement is recognised to the extent of provision or contingent liability,

as the case may be, only when it is virtually certain that the reimbursement will be received.




As at 31.03.2014 As at 31.03.2013

NOTE 2 : SHARE CAPITAL

Number ` in lakhs Number ` in lakhs

Authorised

Equity Shares of ` 10 each 10,000,000 1,000 10,000,000 1,000

10,000,000 1,000 10,000,000 1,000

Issued, Subscribed and Paid up

Equity Shares of ` 10 each 10,000,000 1,000 10,000,000 1,000

TOTAL 10,000,000 1,000 10,000,000 1,000

Notes :

(a) There has been no change in the number of Equity Shares outstanding at the beginning of the

current year and the previous year.

(b)

The Company has only one class of Equity Shares having a par value of 10 per share. Each Equity

Shareholder is entitled to one vote per share.

The dividend recommended by the Board of Directors is subject to the approval of shareholders in

the Annual General meeting and would be paid in proportion to the amount of capital paid-up on

shares.

If any assets are available for distribution upon liquidation in terms of the provisions of the Act, it

will be distributed in proportion to the capital paid-up or which ought to have been paid up at the

commencement of winding-up.

RightsAttached to Equity Shares

Voting Rights :

Dividend :

Winding up:

`

(c) Equity Shares in the Company held by the Holding Company:

As at 31.03.2014 As at 31.03.2013Name of Shareholder

No. ofShares held

% ofHolding

No. ofShares held

% ofHolding

The Clearing Corporation of India Limited 10,000,000 100% 10,000,000 100%


(d) For the period of five years immediately preceding the date of the Balance Sheet, the Company has

not

i) Allotted any shares as fully paid up pursuant to contracts without payment being received in

cash ; or

ii) Allotted any shares as fully paid up bonus shares; or

iii) Bought back any of its Equity Shares.


NOTE 3 : RESERVES AND SURPLUS

General Reserve

Opening Balance 24 24

Add: Transferred from Surplus - -

Closing Balance 24 24

Surplus

Opening Balance 1,660 1,131Add: Net Profit After Tax transferredfrom Statement of Profit & Loss 514 529

Closing Balance 2,174 1,660

TOTAL 2,198 1,684

NOTE 4 : LONG TERM PROVISIONS

Provision for Employee Benefits99 62

TOTAL 99 62

NOTE 5 : TRADE PAYABLES

Due to Creditors other than Micro and Small Enterprises19 19

TOTAL 19 19

( in lakhs)`

As at31.03.2014

As at31.03.2013


NOTE 6 : OTHER CURRENT LIABILITIES

Creditors for Capital Expenses43 54

Due to The Clearing Corporation of India Ltd. - Holding Company- 8

Statutory Dues payable33 51

Other payables52 36

TOTAL 128 149

NOTE 7 : SHORT TERM PROVISIONS

Provision for Employee Benefits105 19

Provision for Taxation (Net of Advance Tax)3 10

TOTAL 108 29


( in lakhs)`

As at31.03.2014

As at31.03.2013



NO

TE 8

: F

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ASSET

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Note

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Note

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us

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`

(in

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31.0

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3.2

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)

Tangi

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Ass

ets

Com

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stem

s-

Hard

ware

97

11

0108

65

26

091

17

(82)

(26)

(11)

(97)

(40)

(36)

(11)

(65)

(32)

Furn

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and F

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2-

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18

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(65)

(34)

Inta

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Ass

ets

Com

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2,0

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361

-2,4

13

2,0

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243

-2,2

49

164

(1,8

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(190)

-(2

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(1,7

08)

(298)

-(2

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(46)

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52

361

-2,4

13

2,0

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243

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(190)

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Gra

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l2,1

51

372

02,5

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2,0

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269

02,3

41

182

(1,9

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(216)

(11)

(2,1

51)

(1,7

48)

(334)

(11)

(2,0

71)

(80)

NOTE 9: DEFERRED TAX ASSET

Deferred Tax Assets

Arising out of timing difference in depreciation and inrespect of expenses allowable on payment basis

TOTAL

NOTE 10: LONG TERM LOANS AND ADVANCES

Security Deposits

Unsecured, Considered Good * *

TOTAL * *

NOTE 11 : OTHER NON-CURRENT ASSETS

Bank Deposits with original maturity of more than 12 months{Refer Note (a) below}

Interest Accrued on Deposits with Banks *

Service Tax Input Credit

Others * *

TOTAL

92

92

0

0

425

2

71

0

498

82

82

0

0

1,575

0

55

0

1,630


Note :

(a) Bank Deposits with original maturity of more than 12 months comprises of deposits amounting to

50 lakhs (Previous Year 25 lakhs) kept with Bank of Baroda, under lien in favour of Forex Dealers

Association of India (FEDAI).

` `

NOTE 12 : TRADE RECEIVABLES

Trade Receivables outstanding for a period less than six monthsfrom the date they are due for payment

Unsecured, Considered Good

Due from The Clearing Corporation of India Ltd. - HoldingCompany

Due from Others

TOTAL

9

131

140

-

94

94

* denotes amount less than 1 lakh.`

( in lakhs)`

As at31.03.2014

As at31.03.2013



NOTE 13 : CASH AND BANK BALANCES

(A) Cash and Cash Equivalents:

Balance with Banks in Current Accounts

Cash on Hand

(B) Other Bank Balances:

Bank Deposits with original maturity of more than

3 months but less than or equal to 12 months

TOTAL

NOTE 14 : SHORT TERM LOANS AND ADVANCES

Advances to suppliers and Others (Unsecured, Considered Good)

TOTAL

NOTE 15 : OTHER CURRENT ASSETS

Interest Accrued on Deposits with Banks

Service Tax Input Credit

Others

TOTAL

* denotes amount less than ` 1 lakh.

31

0 *

31

300

300

331

14

14

102

29

18

149

32

0 *

32

1,725

1,725

1,757

4

4

104

53

18

175

( in lakhs)`

As at31.03.2014

As at31.03.2013


NOTE 16 : REVENUE FROM OPERATIONS

Transaction Charges - Repo Trading System

Transaction Charges - CBLO Trading System

Transaction Charges - Forex Trading Systems

Membership Fees

NDS Helpdesk Support Charges

Datafeed Charges

TOTAL

NOTE 17 : OTHER INCOME

Interest Income-Fixed Deposits with Banks

Other Non-operating Income

TOTAL

NOTE 18 : EMPLOYEE BENEFIT EXPENSE

Salaries

Contributions to Provident and Other Funds

Staff Welfare Expenses

TOTAL

NOTE 19 : FINANCE COSTS

Interest under Income Tax Provisions

TOTAL

808

779

156

4

75

207

2,029

180

16

196

341

36

32

409

2

2


912

941

202

5

50

221

2,331

206

28

234

413

87

32

532

2

2

( in lakhs)`

For the yearended 31.03.2014




NOTE 20 : DEPRECIATION AND AMORTIZATION EXPENSE

Depreciation of Tangible Assets

Amortization of Intangible Assets

TOTAL

36

298

334

NOTE 21 : OTHER EXPENSES

Rent -

Insurance * 0 *

Rates and Taxes, excluding, Taxes on Income 0 *

Repairs and Maintenance Expenses - ComputerSystems 199

Repairs and Maintenance Expenses - Others 0 *

Communication Expenses 59

Business Support Charges to Holding Company 374

Payment to Auditors:

- As Audit Fees 2

- As Tax Audit Fees * 0 *

- Reimbursement of Expenses * 0 *

- Others * -

Others 48

TOTAL 682

* denotes amount less than ` 1 lakh.

26

243

269

9

0

-

225

-

81

617

2

0

0

0

61

995

NOTE 22 : CONTINGENT LIABILITIES AND COMMITMENTS

(i) Contingent Liabilities

(ii) CommitmentsEstimated amount of contracts remaining to beexecuted on capital account and not provided for

--

5818

18 58TOTAL

( in lakhs)`



( in lakhs)`

As at31.03.2014

As at31.03.2013

Particulars




( in lakhs)`


NOTE 23 : VALUE OF IMPORTS AND EXPENDITURE IN FOREIGN CURRENCY

Value of Imports on CIF basis - -

Expenditure in Foreign Currency :

- Travelling Expenses 1 1

TOTAL

TOTAL

1 1

NOTE 24 : EARNINGS IN FOREIGN EXCHANGE

Datafeed Charges 61 54

61 54

NOTE 25 : EMPLOYEE BENEFITS - GRATUITY

In terms of the Company's gratuity plan, on leaving of service every employee who has completed atleast

five years of service gets a gratuity computed at the rate of 30 days of last drawn salary for each completed

year service. The Gratuity Scheme of the Company is funded with Life Insurance Corporation of India (LIC)

in the form of qualifying insurance policy. In accordance with the Accounting Standard on employee

benefits (AS 15) revised 2005 notified by the Companies (Accounting Standards) Rules 2006, following

disclosures have been made which is based on Actuarial Valuation provided by LIC and relied upon by the

auditors.

Particulars



GratuityDescription

2013-14 2012-13

A. Amount recognised in the Statement of Profit and Loss for the year

- Current Service Cost 9 8

- Interest Cost 5 3

- Expected Return on Plan Assets (6) (5)

- Net actuarial (Gain) / Loss recognized during the year 51 5

- Total Expenses recognized in the Statement of Profit and Loss 59 11

B. Actual Return on Plan Assets

- Actual Return of Plan Assets 6 5

C. Amount recognised in the Balance Sheet

- Present Value of Obligation 120 60

- Fair Value of Plan Assets 81 62

- Funded status {surplus / (deficit)} (39) 2

- Net Asset/(Liability) recognized in the Balance Sheet (39) 2

D. Change in Present Value of Obligation

- Present Value of Obligation at the beginning of the year 60 44

- Current Service Cost 9 8

- Interest Cost 5 3

- Benefits paid (5) -

- Actuarial (Gain) / Loss on Obligation 51 5

- Present Value of Obligation at the end of the year 120 60

E. Change in Plan Assets

- Fair Value of Plan Assets at the beginning of the year 62 51

- Expected Return on Plan Assets 6 5

- Contributions Made 18 6

- Benefits paid (5) -

- Actuarial Gains / (Loss) on Plan Assets - -

- Fair Value of Plan Assets at the end of the year 81 62

F. Major categories of Plan Assets as a percentage of total plan 100% Insurance Policy

G. Actuarial Assumptions

- Discount Rate 8.00% 8.00%

- Expected Rate of Return on Plan assets 8.75% 9.15%

- Employee Attrition Rate 1%-3% 1%-3%

- Mortality Rate/Table LIC(1994-96) Ultimate

- Future salary increase 8.00% 5.00%

Notes:

(a) Disclosure with respect to experience adjustments to Plan Assets and Liabilities has not been

furnished as the relevant data is not readily available.

(b) Actuarial Valuation has been done using Projected Unit Credit Method

( in lakhs)`


(c) Estimated amount of contribution to be made in the next financial year 39 lakhs (Previous year - 18

lakhs).

(d)

1 Employer's Contribution to Provident Fund amounting to 20 lakhs (Previous year - 17

lakhs) has been included in Note 18 under Contribution to Provident Fund and Other

Funds.

1 Gratuity cost amounting to 59 lakhs (Previous year - 11 lakhs) has been included in Note

18 under Contribution to Provident and Other Funds.

` `

` `

` `

` `

Amounts Recognised as Expense:

(i) Defined Contribution Plan

(ii) Defined Benefit Plan

2 Employer's Contribution to Superannuation Fund amounting to 5 lakhs (Previous year - 5

lakhs) has been included in Note 18 under Contribution to Provident Fund and Other

Funds.

NOTE 26 : EARNINGS PER SHARE

Basic and Diluted Earnings Per Share is calculated as under:

Particulars 2013-14 2012-13

(i) Net Profit After Tax attributable to Equity Shareholders ( ` in lakhs) 514 529

(ii) Number of Equity Shares outstanding at the beginning of the year 10,000,000 10,000,000

(iii) Number of Equity Shares outstanding at the end of the year 10,000,000 10,000,000

(iv) Weighted Average Number of Equity Shares outstanding during the year 10,000,000 10,000,000

(v) Nominal value of Equity shares (Amt. in `) 10.00 10.00

(vi) Basic and Diluted Earnings Per share (Amt. in `) 5.14 5.29

NOTE 27 : RELATED PARTY DISCLOSURES

(a)

Parties where control exists

The Clearing Corporation of India Limited - Holding Company

List of Related Parties and their Relationship



(b) Transactions with Related Party :

Particulars

Share of Operational Income Received 1,117

(967)

Rent Paid for Residential Accommodation 9

( - )

Business Support Charges to Holding Company 617

(374)

Reimbursement/Sharing of expenses (payment) 83

(61)

Outstanding Balance as at the year end

Amounts Receivable 9

( - )

Amounts Payable -

(8)

Notes:

(a) Figures in bracket represent corresponding amounts in the previous year.

(b) Transactions with Holding Company are in respect of common operations and in accordance with

the terms of agreement entered into in this regard.

(c) No amount in respect of the related party has been provided for as doubtful debts or written

off/back during the year.

(d) All the above transactions are in the ordinary course of the business of the Company.

(e) The amounts are inclusive of Service Tax wherever applicable.

(f) The above related party information has been disclosed to the extent such parties have been

identified by the management. This has been relied upon by theAuditors.

As at the year end, no (Previous year - none) supplier has intimated the Company about it's registration as

micro/small enterprise with the appropriate authority under the Micro, Small and Medium Enterprises

DevelopmentAct, 2006 ("MSMEDAct").

NOTE 28 : DETAILS OFAMOUNTS DUE TO MICROAND SMALLENTERPRISES

( in lakhs)`



25

NOTE 29 :

NOTE 30 :

NOTE 31 :

The Company's operations fall into one business segment comprising of facilitating 'Trading' of

securities/foreign exchange/money market instruments and activities incidental thereto, and all it's

operations are carried out in India.

Disclosure under Schedule VI (Revised) of the Companies Act, 1956, has been given to the extent

applicable.

Previous year's figures have been regrouped, reclassified and rearranged to conform to current year's

presentation, wherever necessary.

For and on behalf of the Board of Directors

Place : Mumbai

Date : May 06, 2014







26


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